LEGISLATIVE FISCAL ESTIMATE

ASSEMBLY, No. 4729

STATE OF NEW JERSEY

222nd LEGISLATURE

DATED: JUNE 1, 2026

SUMMARY

Synopsis:	Requires disclosure to be made when generative artificial intelligence is used to operate chatbots that provide election related information.
Type of Impact:	Potential annual State revenue and expenditure increases.
Agencies Affected:	Office of the Attorney General in the Department of Law and Public Safety

Office of Legislative Services Estimate
Annual Fiscal Impact
Potential State Expenditure Increase	Indeterminate
Potential State Revenue Increase	Indeterminate

· The Office of Legislative Services (OLS) finds that imposing a penalty of up to $6,000 for the first offense and a penalty of up to $12,000 for any subsequent offense when a person fails to disclose that disseminated election related information is provided by a generative artificial intelligence system may result in indeterminate annual revenue increases to the State for each penalty incurred.

· To the extent that enforcing this policy increases the volume or complexity of the Office of the Attorney General or any other State agency’s work, one-time and annual indeterminate expenditure increases are also possible.

BILL DESCRIPTION

      This bill requires that any artificial intelligence chatbot that utilizes generative artificial intelligence to create audio, video, text, or print content with the purpose of providing voters with election related information or information concerning the accomplishments, policy positions, or qualifications of a candidate for election in this State must include, prior to the provision of any content related to the candidate, a clear and conspicuous disclosure that identifies the content as being provided by a generative artificial intelligence system.  Such disclosure must be permanent or difficult to remove by subsequent users, to the extent technically feasible.  If the disclosure required pursuant to this bill is not provided, the person or entity responsible for the oversight of the artificial intelligence chatbot will be liable to a penalty of not more than $6,000 for the first offense and not more than $12,000 for the second and each subsequent offense.

FISCAL ANALYSIS

EXECUTIVE BRANCH

      None received.

OFFICE OF LEGISLATIVE SERVICES

      The OLS finds that imposing a penalty of up to $6,000 for the first offense and a penalty of up to $12,000 for any subsequent offense when a person or entity responsible for the oversight of an artificial intelligence chatbot that disseminates election related information or other information concerning a candidate for elected office fails to disclose that the disseminated content is provided by a generative artificial intelligence system may result in indeterminate annual revenue increases to the State for each penalty incurred.  The revenue increase cannot be estimated because the number of violations in a given year, if any, cannot be forecasted.

      To the extent that enforcing this policy increases the volume or complexity of the Office of the Attorney General or any other State agency’s work, one-time and annual indeterminate expenditure increases are also possible.

Section:	State Government
Analyst:	Anna Harris Associate Fiscal Analyst
Approved:	Thomas Koenig Legislative Budget and Finance Officer

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).